KemenkopUKM Collaborates With Conglomerate Hary Tanoesoedibjo's MNC Group To Boost Cooperatives - MSME Go Digital

JAKARTA - PT MNC Investama Tbk (BHIT or MNC Group) and the Ministry of Cooperatives and Small and Medium Enterprises (KemenKopUKM) of the Republic of Indonesia signed a memorandum of understanding as a joint commitment to encourage the digitization of Micro, Small and Medium Enterprises (MSMEs) through innovation and digital transformation, such as digital banking services, cashless transaction development, access to financing, e-commerce expansion, digital content distribution, and others.

Various programs have been and will be prepared with the MNC Group to improve the digital capabilities of Indonesian MSMEs. One of them is through the Indonesian Authentic Merchant program on MNCTV.

The television station will broadcast 30 special episodes about the stories of MSME actors or stalls under the auspices of SMESCO Indonesia to help promote innovative and inspiring local products through television programs.

After the signing, around 150 representatives of the MSME community immediately received socialization and assistance with MNC Group to better understand the business opportunities offered by MotionBanking, MotionPay, MNC e-commerce, and Warung Migo. The Minister of Cooperatives and Small and Medium Enterprises of the Republic of Indonesia, Teten Masduki, welcomed this initiative.

"We really appreciate MNC Group's commitment and support to help drive the digital transformation of MSMEs in Indonesia. Combined, MSMEs absorb around 97 percent or 117 million national workers, and contribute around 60 percent to Indonesia's total Gross Domestic Product," he said in a written statement. , Wednesday October 6th.

But unfortunately, added Teten, there are still a lot of MSME actors who have limited access to banking. For this reason, he hopes that MotionBanking's contribution will increase the amount of production, turnover, business scale, and increase competitiveness.

"Plus other collaborations with promotions through media and e-commerce, which are the advantages of MNC Group. With MSMEs going digital, it will open up greater opportunities to boost exports of local works," said Teten.

Taking part in the digitization of MSMEs, the Executive Chairman of MNC Group, Hary Tanoesoedibjo said, "It is an honor for MNC Group to take part in reaching 65 million MSMEs to transform digitally by leveraging the strengths and features of our technology in the fields of media, financial services, and e-commerce.

"SMESCO's collaboration with MotionBanking will encourage safer, more productive, and efficient business processes and provide opportunities for growth with financing assistance," said the man who is familiarly called HT.

"In addition, various initiatives with business units belonging to the MNC Group are expected to help promote MSMEs in Indonesia. We believe that the collaboration between KemenKopUKM and MNC Group will be a solution to the various challenges faced by MSME actors and spread positive impacts for millions of Indonesian people through digital expansion," he added.

To note, so far MSMEs in Indonesia have often been in the spotlight in discussions about economic development in Indonesia. This is because most business actors in Indonesia are owners of micro, small and medium enterprises. MSMEs play an important role in the national economy with a total of 65,465,497 units or 99.99 percent of business actors in Indonesia. Micro Enterprises: 64,601,352 (98.7 percent); Small Business: 798,679; Medium Enterprises: 65,465.

As an effort to develop Indonesian MSMEs in order to encourage national economic growth, KemenKopUKM feels the need to digitize MSMEs. The entry of MSMEs to digital, can expand market reach, not limited to the surrounding area, but throughout Indonesia to the international scope. In addition to digitalization in the captive market, digitalization in financial services opens up alternatives for financing, solving one of the main problems faced by MSMEs.

Other support from MNC Group for MSMEs is through MotionBanking, digital banking applications from PT Bank MNC Internasional Tbk (BABP) and MotionPay, e-money applications, e-wallet, digital transfers and QRIS transactions, both of which are part of PT MNC Kapital. Indonesia Tbk (BCAP). A financial technology (fintech) ecosystem will be developed with SMESCO Indonesia, an official institution under the KemenKopUKM, to further develop Indonesian MSMEs.

This digital banking service from MotionBanking will connect MSME players with various easy access to banking, including financing, savings, deposits, debit cards and virtual credit cards.

MSME actors can also become MotionBanking network agents to play a role in user acquisition as well as sales agents for various digital financial services provided by MotionPay which is often referred to as Payment Point Online Bank (PPOB) and also use QRIS as an offline payment method at merchants.